U.S. Goods Trade Deficit Narrows Sharply in June 2025 to $86 Billion, But Signals of Domestic Weakness Emerge
In June 2025, the U.S. goods trade deficit narrowed sharply by 10.8% to $86 billion—its lowest level since September 2023—driven by a steep drop in imports, especially consumer goods. While the improvement lifted Q2 GDP growth forecasts to 2.9%, it also signals weakening domestic demand, soft labor market conditions, and modest inventory growth, raising concerns …